Parkway Properties could buy 525 North Tryon building for $47.4M

CHARLOTTE — An Orlando, Fla., company that bought Hearst Tower this year and is considering purchasing NASCAR Plaza said it has signed an agreement to buy another Charlotte office tower, the 406,000-square-foot building at 525 N. Tryon St.

Parkway Properties announced the agreement to buy 525 North Tryon for $47.4 million Monday. According to the company, the deal is expected to be finalized by the end of the fourth quarter of this year.

At that price, the building, formerly known as the Odell Building, would be bought for $117 a square foot.

According to a press release from Parkway, which could not be immediately reached for comment, the 19-story, Class A building was built in 1998 and is 69.8 percent leased with an average-in-place gross rent per square foot of $19.61. Next year, the building is expected to generate an estimated cash net operating income yield of 4.7 percent, the release says.

This year, Parkway Properties also became the management company for the Cameron Brown building in uptown.

“They’re putting a lot of energy into Charlotte,” said John Stipp, president of Charlotte-based Office Properties. “It could be good for these buildings. I don’t think they have gotten anything that wasn’t a good deal.”